Profit Centre - Meaning - Help me friends

Final 728 views 3 replies

What is the meaning of Profit Centre, friends, as used in Pricing Decisions and other Costing Chapters

 

Plz help.

Replies (3)

Profit Centre simply means a unit of organisation in which profit occur on regular basis..................

Profit centre is separate unit of an organisation for which we calculate profit

Profit centre is a segment of the business by which both revenues are received and expenditure are caused are controlled. 

A division of a company which produces and markets the products may be called as "profit Centre"

The Performance of a profit centre is evaluated in terms of the fact whether the centre has achieved its budgeted profits....

In other words....   It is a sub-unit of organization to which both revenues and costs are assigned, so that the responsibility of a sub-unit may be measured........... 


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